Sir Peter said: “The council would be able to do what it used to do which is to cross-subsidise services.

“The old Leicester Transport would run later on into the evening, it would run in to the housing estates where it was an essential part of linking those estates to the city centre.”

Sir Peter Soulsby has been discussing bus services in Leicester

But Nigel Eggleton, managing director for First Leicester, said: “Leicester benefits from a comprehensive network of bus services, supplied by several privately run bus operators, to all corners of the city and further afield into the county.

“We constantly strive to deliver a reliable service for our customers, offer a range of travel ticket options, provide a comfortable enjoyable journey experience and we have invested a great deal in technology to improve air quality in the city, with new buses being introduced and retro kits fitted to older buses that emit less harmful emissions into the environment.

“I believe that bus services are better managed by the private sector, especially under the present circumstance with limited funding and resource available through our local authorities”

Read More

Need to know on Leicester buses

A spokeswoman for Arriva added: “Arriva is focused on providing the very best transport services.

“We believe working in partnership with local authorities is the best way to make bus travel an even more attractive choice and linking people to work, education and employment opportunities throughout Leicester.”